Go private as United Internet buys out co-founders — Sedo to

Sedo will no longer be a separate, publicly traded firm.

United Internet AG has raised its stake in Sedo Holding to 96.05% following buying out the co-founders’ shares at a price of 2.60 euros per share. United Internet plans to integrate Sedo Holding’s affiliate and domain business into its overall business. The firm will initiate a “squeeze-out process” at Sedo over the coming weeks.

Tim Schumacher, one of the founders of Sedo, released this statement:

This is a good step for Sedo. Taking Sedo private will remove the unnecessary costs and distraction of being a public firm, and will thus allow more intensive focus on the core: clients and products.

For me and my co-founders personally, by selling our remaining shares, we will close an notable chapter of our life. Thank you again to everyone who was – and especially to everyone who still is – part of the Sedo story, as client, partner or team member!

Technically, the firm will still be “public” as United Internet is public. Still, it will no longer have the separate costs of being a public firm. Being a public firm can be a distraction and competitive disadvantage, especially when the business faces significant headwinds in the domain name industry.

Having just looked through United Internet’s six month note, it appears that the level of detail regarding Sedo’s business previously available will not be available going forward.